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BMO is trotting out an extensive assembly of speakers at the Windy City treasury solutions conference, which begins May 7, to demonstrate the strengths of its newly formed Treasury & Payment Solutions division.

“New tools and technologies have enabled financial executives to be more sophisticated in how they manage treasury and payments, but finding the right approach is more complicated and challenging than ever,” said Andrew Irvine, senior vice president and head of the group in a pre-show announcement.

“Working with a bank that understands your business and treats you like a partner – and not just a customer – can clarify these decisions, and ensure you manage treasury and payments in the most effective and efficient way possible.”

In an interview, Irvine said persuading corporate customers to adopt new ways of paying can be a slow process.

“People tend to do today what they did yesterday and the day before. We may still be having this conversation in five or 10 years.”

BMO is working with its customers about alternative payment methods and the wisdom of moving away from checks.

“Check usage is falling, but not at a pace we think it is optimal for our economies or our clients’ interest.” The bank is talking with customers about how much their movement of money is costing them, and presenting alternatives such as a payment card, an ACH solution or wire for international payments.

Many clients want better data with their payments, but it takes many conversations to persuade companies to move away from checks, especially in the mid and small enterprise markets. Governments, Irvine added, are often leaders in moving away from checks, replacing them with prepaid cards or direct deposit.

Cost is one reason to stop writing checks.

“It is not unrealistic for it to cost $30 to $60 to write a check. There are many institutions where people are writing checks for $20 and it costs 2-3x that amount to write it. Clients are surprised to learn how much checks cost them internally because it is a soft cost, while they know exactly what it costs to pay a bank for a digital transaction or a wire. Their costs are quite opaque, but when we show them their real cost their eyes light up. Most would say a check costs about $5; we know when we look at our clients that it is multiples of that.

Companies need to look at the payment types they have and then find out from a bank what payment types their counterparties will take.

“If a mid-market customer says I pay these 80 suppliers on a monthly basis, we will know how many accept card payments. We can look right away for payments that should move to ACH for example; those things are quite easy to move. Sometimes you just need a supplier conversation.”

Checks will probably continue widespread use in middle America but international corporations will try to move away from.

“There are solutions to move information with checks,” he added. “We are looking to pilot integrated receivables, so you can look in one dashboard electronically and it will upload an image with all the digital information that would have been on paper, and you can integrate it with cash flows. That is something we know our customers are excited about. More than anything this is a battle about information, and the more finance professionals can get accurate information and insight into their daily cash positions the better decision-making abilities they will have.”

BMO offers e-payments solutions that allow companies to make their payments electronically, said Steve Pedersen, vice president for North American Corporate Card Products in the bank’s treasury group.